rki.news | Source: Xinhua
KUALA LUMPUR, June 16 — Malaysian Prime Minister Anwar Ibrahim has welcomed a major investment by Austrian semiconductor packaging and substrate manufacturer AT&S, saying it strengthens Malaysia’s position as a destination for high-impact technology investment amid rising global demand for artificial intelligence (AI).
In a statement on Tuesday, Anwar said the investment will enhance the country’s semiconductor ecosystem while creating high-skilled jobs. He added that it reflects investor confidence in Malaysia’s economic direction, governance framework, and policy stability.
AT&S announced on Monday that it plans to invest between €1.5 billion and €2 billion to expand operations in Kedah, driven by demand from AI and advanced computing sectors. The expansion includes upgrading its existing plant and building a new facility for integrated circuit substrate cores and advanced printed circuit boards.
Anwar said the project shows how clear policies and political stability are positioning Malaysia as a regional technology hub. He said such investments translate strategy into high-impact economic growth.
AT&S said its expansion is supported by long-term commitments from global customers, including Advanced Micro Devices and other technology firms.
The new facilities will support demand for AI-driven computing infrastructure and next-generation semiconductor components.
Analysts say Malaysia continues to benefit from supply chain diversification, with Southeast Asia emerging as a key semiconductor manufacturing hub amid global technological competition.